Illegal Payroll Deductions Lawyer

Summary: Although certain payroll deductions are allowed under federal law, far too many companies try to exceed these provisions and illegally withhold wages from employees. If you have noticed suspicious deductions on your pay records, you may need to speak with a lawyer about your wage rights. 

Improper pay deductions can unjustly rob you of wages you are rightfully owed for the work you have performed. When an employer engages in illegal payroll deductions, employees’ financial stability could be left hanging in the balance and result in significant losses over time. 

If you believe that your employer is unlawfully deducting expenses from your paycheck that should be covered by the company, you may require a skilled wage and hour attorney’s guidance. An illegal payroll deductions lawyer can stand up for your rights and work to hold your employer accountable so that they meet their legal obligations. 

Understanding Legal and Illegal Payroll Deductions

Under federal and state law, employers are permitted to deduct specific amounts from employees’ paychecks. These deductions include those specifically listed by the law for purposes such as:

• Federal income taxes
• State taxes
• FICA taxes (the U.S. federal payroll tax)

Employers who have an agreement with employees covering voluntary deductions for health insurance, dental insurance, or retirement may also legally make these deductions. For employees covered by a collective bargaining agreement and who have provided written authorization, the employer may take deductions for union dues without being considered in breach of the law. 

Barring these and other particular exceptions, a company that passes the cost of doing business on to the employee through payroll deductions is doing so illegally. Some examples of payroll deductions that can be illegal include: 

• Drug and alcohol test costs 
• The cost of background checks 
• Costs for uniforms and certain types of personal protective equipment
• Deductions to cover cash register shortages 
• Deductions to cover unpaid customer bills 
• The cost of photographs required by the employer 
• Retaliatory deductions 
• Deductions for equipment necessary for the job 

When an employer fails to pay an employee the wages due to them through illegal deductions, an attorney can help. 

If you have been subjected to improper payroll deductions or have incurred expenses necessary for work that your employer refuses to reimburse, a lawyer can fight to ensure your employer meets their legal requirements and recover the wages you have lost. 

Taking Legal Action for Wage Theft

Illegal payroll deductions can lead to significant financial hardship for workers over time. These deductions often notably reduce workers’ take-home pay, potentially causing their earnings to fall below the legally mandated minimum wage and/or breaching federal overtime laws.

Even if a deduction is technically legal, if it causes the employee to lose out on rightful wages by reducing their income below the minimum wage or slashing overtime pay, the employer is likely engaging in illegal wage theft. Sometimes, employers intentionally deduct overtime hours from workers’ paychecks, which is also illegal. 

Illegal paycheck deductions can affect workers across all sectors, but these issues are particularly common for individuals employed in industries such as:

• Restaurant work
• Hospitality
• Manufacturing
• Healthcare

If you are the victim of wage violations involving illegal paycheck deductions, do not hesitate to reach out to an attorney to discuss your legal rights and how to get back your unpaid wages. 

When to Contact an Illegal Payroll Deductions Attorney

No matter what industry you work in, if you receive a regular paycheck and notice deductions taken out that you believe may not be lawful, you could have a valid claim for wage theft. While employers may lawfully take deductions from employees’ checks for purposes such as tax withholding or covering benefit plan contributions, companies may try to expand their reach too far. 

An illegal payroll deductions lawyer can review your situation and advise whether your employer may be unlawfully taking money out of your paycheck. An attorney can also help you pursue compensation for back wages as well as overtime pay that you may be owed due to instances of wage theft. 

If you have any questions or concerns about potential illegal paycheck deductions, contact an experienced lawyer who can help you understand your legal options. Use our online form or chat to request your free and confidential review. 

Our firm works on a contingency fee basis, meaning you owe us nothing unless we recover compensation for you.